Quarterly report pursuant to Section 13 or 15(d)

Pension and Other Postretirement Benefit Plans

v3.19.2
Pension and Other Postretirement Benefit Plans
 6 Months Ended
Jun. 28, 2019
Pension and Other Postretirement Benefit Plans  
Pension and Other Postretirement Benefit Plans PENSION AND OTHER POSTRETIREMENT BENEFIT PLANS
Net periodic benefit cost (income) for our pension and other postretirement benefit plans consisted of the following (in millions):
 
Pension Benefits  
 
Other Benefits  
 
Three Months Ended
 
June 28,
2019

June 29,
2018

 
June 28,
2019

June 29,
2018

Service cost
$
26

$
31

 
$
3

$
2

Interest cost
73

73

 
6

6

Expected return on plan assets1
(138
)
(162
)
 
(4
)
(4
)
Amortization of prior service cost (credit)
(1
)
2

 
—

(3
)
Amortization of net actuarial loss
38

29

 
—

1

Net periodic benefit cost (income)
(2
)
(27
)
 
5

2

Settlement charges2
—

86

 
—

—

Total cost (income) recognized in condensed consolidated statements
    of income
$
(2
)
$
59

 
$
5

$
2

1 The weighted-average expected long-term rates of return on plan assets used in computing 2019 net periodic benefit cost (income) are
7.7 percent for pension benefit plans and 4.6 percent for other benefit plans.
2 The settlement charges in 2018 were related to North America refranchising and the Company's productivity and reinvestment program.
 
Pension Benefits  
 
Other Benefits  
 
Six Months Ended
 
June 28,
2019

June 29,
2018

 
June 28,
2019

June 29,
2018

Service cost
$
52

$
63

 
$
5

$
5

Interest cost
145

146

 
13

12

Expected return on plan assets1
(276
)
(330
)
 
(7
)
(7
)
Amortization of prior service cost (credit)
(2
)
4

 
(1
)
(7
)
Amortization of net actuarial loss
76

63

 
1

2

Net periodic benefit cost (income)
(5
)
(54
)
 
11

5

Settlement charges2
—

86

 
—

—

Total cost (income) recognized in condensed consolidated statements
    of income
$
(5
)
$
32

 
$
11

$
5

1 The weighted-average expected long-term rates of return on plan assets used in computing 2019 net periodic benefit cost (income) are
7.7 percent for pension benefit plans and 4.6 percent for other benefit plans.
2 The settlement charges in 2018 were related to North America refranchising and the Company's productivity and reinvestment program.
All of the amounts in the tables above, other than service cost, were recorded in the line item other income (loss) — net in our condensed consolidated statements of income. During the six months ended June 28, 2019, the Company contributed $22 million to our pension trusts, and we anticipate making additional contributions of approximately $4 million during the remainder of 2019. The Company contributed $34 million to our pension trusts during the six months ended June 29, 2018.